The total bonus pool for Hong Kong’s brokers is reportedly expected to shrink following the trillion-dollar wipeout of China’s tech market.
Many of Hong Kong’s 600 brokerage houses have decided not to pay any bonuses or freeze salaries this year, according to Hong Kong Institute of Securities Dealers chairman Tom Chan Pak-lam.
«[I]t is a tough time for the industry,» Chan said in an «SCMP» report.
One such example is Bright Smart Securities – a renowned local mid-tier stockbroker with a staff of 300 – which said there were still plans for high-performing employees to receive bonuses but at an amount likely lower than last year.
China Headwinds
In addition to a major crackdown on China’s tech sector, the market also suffered pressure from the ongoing debt crisis in the mainland’s property sector.
Hong Kong's brokerages employ around 27,000 staff who were paid bonuses of up to three or four months of salary last year.
